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U.S. Department Of Defense·Virginia

Utilities Privatization - Privatization of the Electric Utility System at Norfolk Naval Shipyard, VA

Closes 1/30/2026$800M – $3000MRequest for Proposal
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Description

The Department of Defense, through DLA Energy, is seeking a qualified private entity to acquire, operate, maintain, and provide electric utility services for the Norfolk Naval Shipyard (NNSY) in Virginia. The contractor will become the owner of the existing electric distribution system, assume full responsibility for operations, maintenance, upgrades, and capital investments, and will service the Navy’s power needs for up to a 50‑year term. The effort includes a transition period, a Bill of Sale, and a repurchase option for the Government. • Full conveyance of the NNSY electric distribution system (generation, transmission, substations, meters, etc.) • Ongoing operation, maintenance, and capital upgrades for a 50‑year contract term • Requirement to fund all capital investments, meet environmental and safety standards, and provide reliable service to all Government connections • Mandatory compliance with 10 U.S.C. § 2688 and related DoD utility‑privatization statutes • Pre‑proposal virtual conference (Sep 17 2025) and optional site visit (Oct 28‑30 2025) for prospective offerors

Attached files

Contact

Andrew Urben(Contracting Officer)

[email protected]

(445) 737-9595

Key dates

Opened
9/9/2026
Questions due
12/8/2025
Pre-bid meeting
9/17/2025
Site visit
10/28/2026
Closes
1/30/2026
Duration
50 years

Last updated

Details

Type
Request for Proposal
Industry
Energy and Utilities
NAICS
221122
Solicitation №
SP060025R0800

Budget estimate

$800,000,000 – $3,000,000,000

No contract value is disclosed, but privatizing a full naval shipyard electric system typically involves multi‑billion‑dollar assets and long‑term service revenue. Based on comparable DoD utility‑privatization deals, the total contract value is likely in the range of $0.8 billion to $3 billion over the 50‑year term.

AI estimate from the solicitation

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